Comments on: A Different Approach to Layoffs http://eskebaek.net/2009/01/30/a-different-approach-to-layoffs/ Technology, Business Development, Entrepreneurship Fri, 03 Sep 2010 10:03:40 +0000 http://wordpress.org/?v=2.7 hourly 1 By: Thomas Eskebaek http://eskebaek.net/2009/01/30/a-different-approach-to-layoffs/comment-page-1/#comment-7 Thomas Eskebaek Thu, 12 Feb 2009 09:23:22 +0000 http://thewisdomofcrowds.org/?p=16#comment-7 http://www.personneltoday.com/articles/2009/02/12/49370/kpmg-staff-back-four-day-week-in-bid-to-save-jobs.html Looks like KPMG has had similar thoughts they are seemingly moving to a four-day work week to cut costs and avoid redundancies. http://www.personneltoday.com/articles/2009/02/12/49370/kpmg-staff-back-four-day-week-in-bid-to-save-jobs.html

Looks like KPMG has had similar thoughts they are seemingly moving to a four-day work week to cut costs and avoid redundancies.

]]> By: ThomasEskebaek http://eskebaek.net/2009/01/30/a-different-approach-to-layoffs/comment-page-1/#comment-4 ThomasEskebaek Fri, 30 Jan 2009 09:59:34 +0000 http://thewisdomofcrowds.org/?p=16#comment-4 A very insightful comment Martin, and I think you may be correct that it probably will not work on a macro economic scale as it may cause lowered living standards and deflation. However, if 10% of a country's workforce is all of a sudden without employment, wouldn't that also cause decrease in living standards and deflation? I believe this might be even more undesirable for a country, as having a very large number of people unemployed (and thereby not "producing" anything for the country) results in higher social costs and less productivity. By lowering salaries instead, the workforce remains productive and does not draw public money - in my view, this seems a much better state of affairs. Disclaimer: Please bear in mind however, that I have no economic background or training. A very insightful comment Martin, and I think you may be correct that it probably will not work on a macro economic scale as it may cause lowered living standards and deflation. However, if 10% of a country’s workforce is all of a sudden without employment, wouldn’t that also cause decrease in living standards and deflation? I believe this might be even more undesirable for a country, as having a very large number of people unemployed (and thereby not “producing” anything for the country) results in higher social costs and less productivity. By lowering salaries instead, the workforce remains productive and does not draw public money - in my view, this seems a much better state of affairs.

Disclaimer: Please bear in mind however, that I have no economic background or training.

]]> By: Martin Stockner http://eskebaek.net/2009/01/30/a-different-approach-to-layoffs/comment-page-1/#comment-3 Martin Stockner Fri, 30 Jan 2009 07:51:25 +0000 http://thewisdomofcrowds.org/?p=16#comment-3 With the massive amount of layoffs that have been occurring recently, I have thought the exact same thing. There are a few problems with this, however. Obviously this might work in a single company. But if you apply this to a macro level and to all the companies that are laying off people, it simply doesn't work. Lower salaries means a decrease in living standards. It's deflation, which is extremely undesirable for a country. I do, however, think that many people could live off a much lower salary if they lived more modestly, this is an unrealistic expectation to apply on a macro level in our current materialistic-orientated society. With the massive amount of layoffs that have been occurring recently, I have thought the exact same thing. There are a few problems with this, however. Obviously this might work in a single company. But if you apply this to a macro level and to all the companies that are laying off people, it simply doesn’t work. Lower salaries means a decrease in living standards. It’s deflation, which is extremely undesirable for a country. I do, however, think that many people could live off a much lower salary if they lived more modestly, this is an unrealistic expectation to apply on a macro level in our current materialistic-orientated society.

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